The government had imposed anti-dumping duties on Korean polypropylene resins on claims by local petrochemical manufacturers that the entry of such resins was hurting the domestic market.
At least 10 Korean firms were accused of dumping their PP resins in the Philippines. These were Daelim Corp., Hanwah Corp., Kolon International Corp., Hyundai Corp., SK Global Co., Jinwon Trading, LT International, Sekitoku, Sewon Corp., and Hyosung Co.
On behalf of the accused firms, the South Korean government had filed a case against the Philippines with the Dispute Settlement Body of the World Trade Organization (WTO) contradicting the dumping claims.
Findings by Permanent Mission in Geneva in July this year showed that there was "no significant increase in the volume of dumped imports, both in absolute terms and relative to domestic consumption."
In fact, the findings showed that the dumped imports accounted for less than five percent of the domestic consumption in 1998 and that imports from Korea in 1999 were down to 50 percent of 1998 level.
It was also proven that there was no price undercutting or price depressing effects on local selling prices and that the domestic industry was selling below cost to gain market share.
The Tariff Commission also reviewed the matter and agreed with the findings of the Permanent Mission in Geneva. – Marianne Go